Amwu news winter 2009

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WINTER 2009

IT’S TIME FOR

A NEW DEAL INSIDE

Victory: Paid Parental Leave delivered Rights at Work Laws begin July 1 Fighting for ‘a country that makes things’


EDITORIAL

Out of the crisis, a new deal for workers History has shown that out of every great crisis, a new deal emerges.

Here, and across the globe, significant government stimulus packages are the only thing keeping economies from severe breakdown.

At the International Metalworkers’ Federation Conference in May, and the ACTU Congress in June, the AMWU pushed for all unions in Australia and globally, to take up the fight to ensure that working people have a much better cut when the global economic rules are rewritten. We need a new deal for income security, a new deal for job security, and a new deal for the protection of employee entitlements. Even conservative economists now agree: we can’t just leave it to the market.

Here, and across the globe, significant government stimulus packages are the only thing keeping economies from severe breakdown. In June, the iconic symbol of American free enterprise, General Motors, filed for bankruptcy. The US Federal Government has become the majority shareholder. In Australia, however, Holden has withstood the collapse of its parent because of the policy settings and the $6.2 billion investment the Rudd Government made in our auto industry last year. The AMWU is determined that unions fight for a political agenda that goes beyond the next bargaining round or the next federal election. We need to lead the debate on a new deal that increases the security and rights of working families for the next generation.

ACTU Congress 2009 in Brisbane

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The union’s vision for a new deal is outlined in this edition of the AMWU News. At the ACTU Conference, Prime Minister, Kevin Rudd told delegates that Labor and the union movement must work together on a “21st century social wage”. Schemes like the new paid parental leave system should be just the beginning of this. The idea of raising the pension age to 67 should not. While it’s good to have a Labor Government talking about a serious agenda to improve the social wage, we know that unions will have to fight very hard in our workplaces and communities to make it a good deal, and a reality. When we began the Your Rights at Work campaign several years ago, it’s first goal was to defeat WorkChoices, but it was always about something bigger. Fundamentally, Your Rights at Work is about drawing a line in the sand and saying our society should be served by our economy, not the other way around. This agenda, and the momentum of that campaign, is what we must carry forward in this fight to recover from the economic crisis and put working peoples’ needs at the centre of the economy. In Unity,

Dave Oliver AMWU National Secretary


A new deal: Workers’ rights

New IR laws on July 1

After the successful Your Rights at Work campaign, the Fair Work Bill was passed by the Senate in March, with the new laws set to begin on July 1 this year.

A new deal

WORKERS READY FOR

Despite frantic lobbying from business, the laws will restore many of the rights that were taken away by WorkChoices. AMWU National Secretary, Dave Oliver, said that the union would continue to campaign for improvement, but that the laws were a fundamental shift towards workers’ rights. “The values that we asked the community to support have underpinned this legislation, and this is a real testament to how in touch unions are with the community,” he said. “The fact that the Liberal and National parties voted against the new laws to keep WorkChoices is an indication of how stuck in the Howard era they are.” Mr Oliver said that workplaces with a long history of bad faith bargaining by employers, would be a significant test for the new laws. For example, workers at Cochlear have been denied the right to negotiate a union agreement for over three years. AMWU NSW organiser, Daniel Kyriacou, said that Cochlear workers were geared up and ready to go from July 1. “Our delegates and activists are excited. We’re ready. We’ve already won five ballots in favour of a union collective agreement under the old laws, so we’re confident of winning now. But

we’re also hopeful that the company will finally see sense and recognise that it’s not that hard to treat your workforce with respect and sit down and talk.” Many of the union movement’s key concerns were addressed by the new laws, including, good faith bargaining, unfair dismissal, and allowing an independent umpire to settle disputes for low paid workers or where employers refuse to negotiate in good faith. On unfair dismissal, workers will be protected after six months employment in a workplace of more than 15 employees and after 12 months

AMWU News WINTER 2009 AMWU News is the official publication of the Australian Manufacturing Workers’ Union, (registered AFMEPKIU) National Office, 133 Parramatta Road, Granville, NSW, 2142.

employment in a small business with less than 15 workers.

Cochlear delegates and activists

Mr Oliver said that workers now have a stronger safety net of employment standards and the protection of awards and minimum wages that were taken away under WorkChoices.

new rights in bargaining.

are already prepared to use their

The union will continue to push for improvements to the legislation including an end to restrictions on matters than can be bargained for, the right to campaign for industry wide conditions, and for building workers to have the same rights as all workers.

Dave Oliver’s editorial .............................................2 Creating jobs to tackle climate change ..........................4 Paid parental leave delivered .................................... 5

Editor: Dave Oliver Communications Officer: Tim Chapman

Job security: A key priority ....................................... 6

Production Management: Essential Media Communications, Melbourne Design: dcmc Design, Melbourne

Campaign to improve OHS laws ................................. 8

All information included in this publication was correct at the time of publication, but is subject to change at any time. Please contact your union organiser for updates.

Workers fire up for new agreements . .......................... 9

© AMWU National Office Made in Australia by AMWU labour

How the stimulus packages save jobs ......................... 11 AMWUNEWS

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A new deal: Jobs and the environment A new deal

Carbon reduction targets must be matched with investment in new jobs With many members in carbon intensive industries, climate change presents the AMWU with some hard choices, but the right policies will tackle climate change and create jobs.

“A scheme that puts a price on pollution should include carbon-intensive industries like coal and aluminium, as long as there is government assistance to help with the transition and investment to kick-start green manufacturing jobs in communities that currently rely on these carbon-intensive industries.” The three core sectors in the low carbon and environmental services industry – traditional environmental goods and services, renewable energy technologies and emerging low carbon areas – were worth over $A6 trillion globally last year. “In the UK alone, the expectation is that these industries will generate more than 50 000 additional jobs each year over the next decade. The race is on for where the jobs will be created and where the investment will occur in these green

Dave Oliver at the Senate Inquiry into a Carbon Pollution Reduction Scheme

Speaking to a Senate inquiry into the government’s proposed carbon pollution reduction scheme (CPRS), AMWU National Secretary, Dave Oliver argued that Australia must choose to fight climate change by investing in skills and technology to develop manufacturing jobs in ‘green’ industries.

industries,” Mr Oliver said.

“Unlike the head-in-the-sand agenda of business groups, the AMWU is focused on getting government and industry to move quickly to secure Australia a share of green jobs that will be created once the CPRS and mandatory renewable energy targets (MRET) are in place.

“The Rudd Government has given Australia the opportunity to push hard for a target that will prevent global warming. It must match it with investment to ensure Australia is first in and best dressed to develop and manufacture high-technology products for a low carbon world.”

“Retro-fitting houses, the manufacture of sustainable energy, and the production of green cars all offer opportunities for job creation.” “Where new technology requires retraining and new skills, government and industry must ensure that programs are there to support workers making that transition,” he said.

Emissions Trading Scheme to create 26 000 new jobs Renewable energy projects planned under the Emissions Trading Scheme will create 26 000 jobs, according to research published by the Climate Institute in May. The research shows that $31 billion worth of clean energy projects already in the pipeline, many in regional areas, will generate 2 500 permanent jobs, 15 000 construction jobs and 8 600 associated positions. The research does not include jobs in domestic solar or insulation, or new projects funded through the $1.6 billion ‘solar flagships’ program announced in the budget, and is based on surveying investors rather than making projections from modelling. AMWU National Secretary, Dave Oliver, said 4

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the research backed up the union’s case that responding to climate change is an opportunity to create new jobs. “Evidence from around the world shows that there are jobs in alternative and renewable energy and the government needs to act promptly so that Australia can be a forerunner in this field.” Despite the projected boost to employment, the Liberal Party is pushing to delay the Emissions Trading Scheme until after the global conference in Copenhagen, at the end of this year. The Climate Institute’s research found the states to benefit most from clean energy project proposals were NSW (4 921 jobs) South Australia (4 586) and Victoria (4 346).

The planned projects include geothermal, wind, solar, biomass and wave power. By far the biggest investments are planned for wind power projects, followed by geothermal. “This research shows that if climate change and renewable energy legislation passes through parliament without being weakened, it will help drive the industrial shift that can put Australia at the front of a global energy boom which already employs more people worldwide than those directly employed in oil and gas,” said Climate Institute CEO, John Connor. “The good news is that taking action on climate change will create tens of thousands of jobs, many of them in regional Australia, as we shift gears to a less polluting and more efficient economy,” he said.


A new deal: For families

The AMWU has welcomed the announcement of an 18-week paid parental leave scheme in this year’s federal budget. AMWU National President, Julius Roe, said that the scheme was the most significant improvement to Australians’ rights at work since universal superannuation was introduced in the 1980s. “Paid parental leave is a great step forward and a significant win for working families and their unions, but it is still a fair way behind the standards in most OECD countries,” said Mr Roe. “We now have the challenge of pushing employers to make a contribution - to top

the government contribution, including the maintenance of superannuation during paid leave, and to make up the difference between the government paid minimum wage, and the full rate of a worker’s weekly wage.” “On the government side of the agenda, Kevin Rudd and Julia Gillard should be congratulated for taking this step forward, and they should be encouraged to improve it by lengthening the scheme in the near future.” “Family is an important part of our lives and the union will continue to campaign to raise standards to help families at work. The AMWU already has various arrangements for maternity leave in hundreds of union collective

A new deal

18 weeks paid parental leave arrives after long campaign agreements around Australia, which will now be on top of the government scheme. The AMWU will also aim to upgrade the benefit in collective agreements in order to include the payment of superannuation and to extend leave for fathers at the time of birth. AMWU Delegate at Cochlear, Luke Mason and father of three children under five said that fathers should be able to have paid leave at the same time as their partners for four to six weeks. “The first few weeks when you have a baby are crazy. You don’t know what’s going on and it’s a huge help if the mother’s got the father around to help.”

Paid Parental Leave: What will you get? The scheme will be paid to primary carers from January 2011 at the rate of the minimum wage, currently $543.78 a week, for up to 18 weeks. Who can get it? It is available to mothers who have worked for at least ten of the thirteen months prior to the birth. Casuals, contractors and the self-employed will be covered. (Non-working mothers will still receive the baby bonus.) The leave can be transferred to the father if he is the primary carer or it can be shared between the two parents. Is it means tested? Primary carers who earn more than $150 000 will not qualify. Who will pay me?

If you have 12 months continuous service in your job, your employer will pay you and get the money from the government. If you have less than 12 months continuous service, you will be paid by the government through the Family Assistance Office.

What if I have twins? If you have two or more children, you will receive one maternity leave entitlement, but subject to an income test, there is the possibility of receiving the baby bonus too.

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A new deal: Job security NEWS

Job security: A key union priority

Job security is a global issue

Over the past 30 years, neo-liberal economic policy has led to mass casualisation and the loss of the most important thing that workers were able to win in the new deal of the post-second world war boom: a secure job and rights to protect their living standards.

AMWU National Secretary, Dave Oliver, led the debate at ACTU congress arguing that Australian unions and the government must re-establish the sanctity of permanent employment. “In today’s financial crisis, the workers who are hurting the most are the casual employees and contractors who were in precarious financial situations even during the good times. Financial security is the most important issue for working people. When workers lose their jobs, they need much better financial support than they currently receive. Losing your job should not mean losing your house, or suffering the stress that leads to family break down and falling off the path that leads back to employment. We need income maintenance schemes to help workers keep up with their financial obligations while they are without work. But prevention is better than cure, and we also need to support workers in situations where a temporary reduction in hours – combined with government-funded paid

training – could prevent job losses, and actually improve skills and productivity in the long term. In Australia, many workers already have entitlements through redundancy schemes that are supposed to protect them from financial insecurity but, across manufacturing, we have seen company after company collapse without the money to pay these entitlements. It is not acceptable that workers can lose their jobs and in the same breath be told they have lost their entitlements as well. Employers should be required to keep that money aside, and they must be held accountable if they don’t. The only way to ensure workers’ entitlements are protected is to establish a universal scheme, paid for by a small contribution from employers, which guarantees entitlements in full. Twenty five years ago, working people fought to make employers contribute to our retirement and we achieved universal superannuation. And we’ve just had another significant win: paid parental leave. When we fight as a movement we can win. We must continue the fight we began in the Your Rights at Work campaign and make sure that we come out of this economic crisis with a new and better deal for working people.”

GM fails but auto-plan shows industry policy saves jobs Despite the bankruptcy of General Motors in the United States in June, Australian jobs have been secured and Holden has emerged unscathed because of the active and strategic role the Federal Government has played since the 2007 election. AMWU National Secretary, Dave Oliver said that the strategic direction and targeted investment of the $6.2 billion auto-plan developed by government, industry and unions meant that Holden had already changed direction and avoided the situation that led to GM’s collapse. “Twenty five thousand jobs were lost in the US and nine plants closed, but we’ve had no plant closures and no job losses in Australia. The

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Federal Government’s auto industry plan can take a lot of credit for that fact.” Mr Oliver said that while the auto industry suffered under a decade of negligence by the Howard Government, this demonstrates what a difference strategic industry policy makes. “There can be no doubt that without the government’s role, the result of the GM collapse would have been very different for Holden,” said Mr Oliver. “The Rudd Government funding allocated under the Auto Review has given Holden the confidence to gear up to produce a small car. Ford has committed to building a four-cylinder car in Victoria, and Toyota will begin building an Australian hybrid Camry from next year. “At a time when unemployment is rising and the preservation of Australian jobs is of the utmost importance, we should recognise that the active intervention of government investment can help secure industries that provide good jobs for Australians for generations to come,” said Mr Oliver.


A new deal: Jobs and training

MANUFACTURING ALLIANCE

Despite all the hype surrounding the $900 cash payments, the vast majority of the government’s stimulus packages have gone towards important, nation-building infrastructure projects that will create employment and build our economic capacity for the long-term. This emphasis on infrastructure and jobs is welcome but the AMWU is arguing that current government purchasing guidelines need to be changed to ensure that the components and materials used in these projects are also made in Australia. The AMWU has teamed up with the Australian Workers’ Union to campaign together as the Manufacturing Alliance.

NEWS

Stimulus spending must be targeted for maximum jobs Kevin Rudd says he ‘wants to be Prime Minister of a country that makes things’, and we want him to as well. That’s why our campaign is calling for the government to insist that companies working on government funded projects use Australian made products wherever possible. In the United States, Barack Obama, has insisted that ‘Buy America’ laws ensure American stimulus spending gives preference to American-made products. We want the same rules here in Australia. In the lead up to the Labor Party’s annual conference in July, AMWU and AWU members will be working together to make sure the Rudd Government adopts economic policies that deliver on this key outcome. Stimulus spending can and must support jobs for a strong and viable manufacturing industry.

Improve training instead of cutting jobs AMWU delegate at Bosch, Mark Spyker, says there are alternatives to downsizing and cutting hours that can help both industry and workers through the recession. Mr Spyker recently met with Bosch delegates from all over the world in Germany, to discuss initiatives that could help workers keep their jobs during the economic crisis.

their pay, without resorting to using their leave or entitlements.”

“Down days were the biggest issue on the table at the meeting, but not all Bosch employees are treated equally.”

“Australian management, on the other hand, simply wants us to exhaust all of our entitlements.”

Mr Spyker said that while management in Australia were planning down days with workers taking annual leave and long service leave, their German counterparts had implemented other programs. “In Germany and other parts of Europe, they are very switched on about coming to arrangements from which everyone benefits. In Germany, workers have won allocated training days where the company puts in 30% of the workers’ pay, the workers put in 5 – 15% and the government puts in the rest. “That means that everyone gets at least 85% of

AMWU delegate at Bosch, Mark Spyker

Mr Spyker said that in some places, workers could also access overtime that they had accumulated in the past to fund their wages during the training days.

The CEO of the global company, Mr Franz Fehrenbach, who met with the delegates said the company was opposed to job cuts as they had done that in the last recession and then found themselves without skilled workers when they came through the crisis. “He admitted it was a mistake. And I think the local chapter here in Australia, as well as other companies, really need to look at this tendency to lay off people each time there’s a problem,” Mr Spyker said. “Management here needs to be more open and accountable to workers and have a real commitment to trying alternatives.”

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Health and Safety: Fighting for better standards NEWS

Australian unions committed to National Health and Safety campaign The AMWU is maintaining that the national system be underpinned by: • The right to have a say • The right to stop unsafe work • The right to be represented OHS Reps must have the right to: • Access Information and assistance • Training of their choice • Enforcement tools and powers

Unions are stepping up their campaign on health and safety laws in response to a national review which has recommended lower standards and less protection for workers. Since 2006, when the federal and all states governments agreed to pursue a single national model for OHS laws, unions have been monitoring and participating in the process.

The intial agreement between all governments was to pursue a new set of laws that would maintain the existing rights in all states, and raise them up in states where the standards were lower. The governments’ stated objective was to cause “no reduction or compromise in standards for legitimate safety concerns”. In May this year, a final framework was agreed by all governments (except Western Australia) at the Workplace Relations Ministers Councils, but unions say the final framework remains flawed. AMWU Health and Safety Officer, Deb Vallance, said that the AMWU has been concerned since a draft report earlier this year recommended dragging key standards back to the lowest common denominator of some of the state systems. “Following union campaigning some of the negative outcomes were removed from the plan but despite these changes, the framework does not deliver on the governments’ promise of 2006 and workers stand to lose some important rights.

While the proposed framework does maintain the right for elected health and safety representatives to have access to training and training leave paid by the employer, it also includes a provision that would expose health and safety reps to legal action over safety issues in their workplace. “This is a ridiculus situation. Health and Safety should be the legal responsibility of the employer, not the health and safety rep,” said Ms Vallance. The framework also scraps the right for a union to prosecute an employer over a safety breach – a right that currently exists in NSW. The WA government is still arguing against the right of union officials to inspect workplaces for health and safety breaches. Ms Vallance said while there were some positives for some states, workers should keep up the demand for a single national system that includes the existing rights of all states. Other rights that should be implemented as national standards include: • The right for individual workers to cease work on reasonable grounds if work is immediately unsafe;

• The right for health and safety reps to issue stop work notices and enforcable notices to improve safety aspects; • Health and safety committees to have at least 50% worker representation; and

• Right of entry for unions to investigate suspected breaches of the law or regulations

All union members should use the information on the AMWU website http://www.amwu.org.au/ohs and play their part in the campaign.

Unions push for safety standards on nano-technology The AMWU has joined unions around the world in a push to protect workers who work with nano-particles. Nano-technology is already found in over 800 everyday items including sunscreen and food.

Nano-technology is being hailed by business as the new miracle in product development, but after the disastrous effects of the 20th century ‘wonder product’ asbestos, the AMWU is demanding more research before workers are exposed. 8

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Nano-particles, which are one billionth of a meter or 100 000 times smaller than the width of a human hair, are of concern to unions because of their potential to be hazardous due to their size, surface area and toxicity. AMWU Health and Safety Officer, Deb Vallance, says that, despite growing evidence to show that nano-materials present unique health and safety hazards, no country has introduced specific regulations. “We need new regulations that will address the

specific hazards of nano-sized materials. “The European Agency for Health and Safety at Work has put nano-particles at the top of the list of risks for workers.” Ms Vallance said government agencies must develop new standards for the handling of nano-technology and that nano-scale chemicals must be classified as new chemicals. “We also need mandatory requirements that all commercial products containing nanomaterials be clearly labeled.” Safe Work Australia has initiated a nanotechnology health and safety program and has acknowledged that research is required to assess the OHS risks of nano-technology.


Industrial news

Workers at Superior Pak in Queensland are entering negotiations for a new collective agreement after a huge increase in union membership. AMWU delegate, Gary Payne, said from a base of two members they now have 70 members at the company. “When I first started here, I was very concerned about the lack of communication between management and workers and a host of other issues that no one was addressing. “From previous jobs, I know that unionised workplaces are better places to work so, I thought I’d better do something about it. With the help of co delegate Winston Yorke, they began to talk to their workmates about the benefit of union membership.

“We began to have meetings where we would discuss our concerns and this was a novel experience for a lot of the guys.” More people came on board in May after the company called for a secret ballot for an EBA committee. Three non-union employees were seeking to get themselves elected and there was talk about getting a non-union agreement outcome.

“Management have cleaned up their act. They’ve started to include Winston and me in their communication, which is as it should be.”

NEWS

Superior Pak workers go for superior conditions Superior Pak delegates L-to-R Winston Yorke, Gary Payne, Ricky Sirett and John Maher.

AMWU organiser, Steve Murphy, said the workers were concerned about this and voted for union members to go on the negotiating committee. “The results from the secret ballot indicated that 91 employees were in favour of a union agreement. So even those that aren’t in the union supported us.” Gary Payne believes that things have improved since the union presence.

First national agreement for Ecowise Workers at Ecowise, an environmental solutions company, have successfully negotiated their first national agreement after the workforce joined the union in large numbers. AMWU Victorian organiser, David Vroland, said that members were happy to lock in conditions that were under threat and to negotiate improved rates and conditions for all workers.

The agreement also spelt out improved OHS consultation processes, formalised disciplinary procedures and a better system to manage rostered days’ off. “Ecowise workers have more say now and have achieved a great deal with their first collective agreement,” Mr Vroland said. “With stronger membership, things can only get better.”

Ecowise delegate Mike Clashen and AMWU Organiser, David Vroland.

“Prior to union involvement, there were three separate agreements and management was looking to reduce sick leave conditions and cut the casual loading. “The workers’ decision to join the AMWU and work collectively meant that we succeeded in hanging on to everything.” AMWU members worked together to strike an agreement that not only protects existing conditions but also provides for significant improvements. Those improvements include: • A good salary increase • Payment at the higher classification rate after 5 days acting in role • Establishment of a steering committee to review the classification structure over the next 12 months • Long Service Leave available after 7 years pro rata on termination • 14 weeks paid maternity leave and facility to reach agreement on returning on part time basis • Restrictions on renewal of fixed term contracts. And requirement to convert to permanent beyond 1 year.

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Industrial news news

Fosters workers maintain pay and conditions would have to apply to labour hire company ABB for their jobs with less pay and inferior conditions. AMWU organiser, Chris Spindler, said that after a month long protest, ABB agreed to employ any worker from Fosters who wants a job on the same rates and conditions. “We got a good deal for the workers. It goes to show that we do not have to accept what the boss offers and we can resist successfully. In the end we have secured all the conditions and rates of pay and continuity of employment.”

After successfully resisting moves by the company to force them onto contracts with a labour hire firm for less pay, AMWU members at Fosters have returned to work with their pay and conditions in tact. As reported in the previous AMWU News, in February, workers in the maintenance crew at Fosters were told that they would no longer be employed by the company and

Mr Spindler said that a number of workers have left the company or have found other jobs as a result of Fosters actions, but those who want a job with ABB will have one. “The action we took was totally successful in securing this outcome. As result of staging this protest, none of the workers were available to perform their duties and the company realised it needed their skills

and expertise.” There were breakdowns in machinery and production at the plant was suffering. “They realised that they couldn’t run the plant without the workers that they had sacked. And the same workers were refusing to apply for the jobs with ABB.” The workers, some of whom had been with the company for more than 20 years, were shocked and appalled when the company told them they would no longer be employed with Fosters and would have to apply for their jobs with ABB. “This is a company that made more than $700 million profit last year. There was no economic reason for making this move.”

Each shirt represented a job that would have been lost

Keep up to date with the AMWU You can stay in touch with all of the AMWU’s news and campaigns by signing up to receive the AMWU weekly newsletter via email. It’s as easy

as visiting www.amwu.org.au and filling in your details!

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GLOBAL

Economics with Nixon Apple

How the stimulus packages are saving jobs If the official forecasts are correct, there will be around 100 000 fewer jobs in two years time (by June 2011) than there are today as recession hits Australia hard. But the federal budget forecasts then predict that more than 500 000 jobs will be created in the next two years up to June 2013. With unemployment going from 5.5% to 8.5% over the next two years, an extra, 345 000 people will join the dole queues leaving us with around 975 000 people unemployed. Without the government stimulus measures however, unemployment would have been around 172 500 higher or nearly 1.15 million by June 2011. In effect, the Labor Government has cut the potential dole queue by a third. This is enormously significant. In addition employers, unions and community groups can take initiatives that should keep an additional 40 000 to 50 000 people in jobs of one kind or another. Union- employer negotiations in some industries are aimed at keeping people in jobs. For example, each additional $100 million of local content in major infrastructure projects and big projects in the oil and gas industry, give us

an extra 1 000 jobs directly and many more indirectly. The AMWU’s Make it Here or Jobs Disappear campaign will be as important as ever. Church and community groups and local government agencies will also work together to help provide jobs and training at the local level, if only on a temporary basis, for a broad cross section of people. The point is, Australia can do better than sit on its hands as the Opposition and some conservative commentators would have it. These outcomes are highlighted in the graph below.

our net debt went to 18.5% of GDP. In this recession, it is expected that our debt will peak at around 14% of GDP. The average net debt in the worlds 30 most advanced economies ranges from 50% to 80% of GDP. So let’s not get caught up in the conservatives scare campaign about debt. Now is the time for government to borrow and spend to keep people in jobs and cushion the economy from the worst downturn since the great depression. During the recovery there will be ample time and resources to pay back debt to a level the nation is comfortable with.

Without the government stimulus measures unemployment would have been around 172 500 higher.

While ultimately a matter of judgement, the graph suggests that the difference between doing nothing and combining stimulus spending with the actions of employers, unions and the broader community should mean that unemployment will be 220 000 less than would otherwise be the case. It’s important to make this point because it shows that the labour movement is making a difference in the numbers of unemployed. The main thing that will stop unemployment getting as high as 1.2 million has been the willingness of the government to borrow and stimulate the economy. In the recessions of the early 1980s, our net debt went to 10% of GDP. In the recession of the early 1990s

Industry Fund Financial Planning: 1300 138 848 iffp.com.au The Do’s if made redundant:

The Don’ts if made redundant:

• Ensure you receive a schedule of payments from your employer, and that you have a clear understanding of what you will receive in your redundancy package. • Check your level of insurance cover and conditions with your industry super fund. • Try to remain positive and take control of the situation without letting it take control of you. • Consider your options carefully. Keep an open mind and ensure you use your redundancy package in the most effective way possible. • Contact your industry super fund to talk about your options. Ask to speak to an IFFP financial planner. • Seek emotional support if you feel overwhelmed by the situation. •.Record and prioritise all your essential and non-essential living expenses to help plan a budget and track your financial commitments.

• Accept a redundancy package before looking at the conditions of your Industrial or Employment Agreement. Visit workplaceauthority.gov.au for more information. • Just assume that your schedule of payments has been calculated correctly. Check with your trade union, professional association or a qualified Financial Planner. • Make any sudden investment decisions with your lump sum or accumulated super. • Refuse assistance from people or organisations that can help or offer support. • Spend your redundancy payment without giving full consideration to how your package can best be used in your circumstances. • Allow the situation to overwhelm and take control of you. • Put off speaking to your financial provider if you have any outstanding loans or debts. They may be able to provide you with a new repayment plan to take into account your circumstances.

This information is intended to provide information of a general nature only. It has been prepared by IFFP (a division of Industry Fund Services Pty Ltd, ABN 54 007 016 195, AFSL 232514) without taking into account your personal objectives, financial situation or needs.

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DELEGATE PROFILE

PROFILE ‘Protect our entitlements” Kerrie Broughton, Delegate, DSI Albury Two hundred of us arrived at work one day and were told that there was no more work and that the company was broke. Stunned, we listened as we were told there were no funds whatsoever and the company couldn’t pay us what we were owed, what we worked hard for and what we thought we’d have to hold us over until we found another job. All of us lost our entitlements. Some people walked away losing $70 000. People had no job and no money and in some cases couldn’t feed their families and had to rely on help from welfare. We earnt every cent of our entitlements and I believe that if a business goes broke for whatever reason, we are entitled to our money. And the company has to be held accountable to somebody or something for losing that money. Because it’s not their money to lose in the first place.

ESSENTIALCONTACTS AMWU National Office Location: Level 4,133 Parramatta Road, Granville Postal: PO Box 160, Granville, NSW 2142........................................................ (02) 9897 9133 2nd Floor, 251 Queensberry St, Carlton South, VIC 3053 . .......................................................(03) 9230 5700 NSW Branch Location: Level 1, 133 Parramatta Road, Granville Postal: PO Box 167, Granville, NSW 2142 . .................................................... (02) 9897 2011 Albury/Wodonga ............................................ (02) 6024 1099 Newcastle .......................................................(02) 4929 2644 Western Region .............................................. (02) 6337 7162 Wollongong .................................................... (02) 4229 7611 VIC Branch 1st Floor, 251 Queensberry St, Carlton South, VIC 3053 . .......................................................(03) 9230 5700 Albury/Wodonga............................................. (02) 6024 1099

contact the website for news and views www.amwu.org.au email amwu@amwu.asn.au Ballarat ............................................................ (03) 5332 2910 Bendigo . ......................................................... (03) 5442 5101 Corio ............................................................... (03) 5274 2844 Dandenong .....................................................(03) 9701 3044 Geelong . .........................................................(03) 5229 9358 Latrobe ............................................................ (03) 5134 3306 Portland ..........................................................(03) 5523 2525 Shepparton ..................................................... (03) 5822 2510 QLD Branch Location: 366 Upper Roma Street, Brisbane Postal: PO Box 13006 George Street, QLD 4003.........................................................(07) 3236 2550 Mackay . ..........................................................(07) 4953 0550 Rockhampton . ................................................ (07) 4927 1487 Townsville .......................................................(07) 4771 5960 SA Branch 1st Floor 229 Greenhill Road, Dulwich, SA 5065 ..........................................................(08) 8366 5800

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